6 March, 2022
The US Central Bank’s boss has indicated that he plans to press ahead with interest rate increases this month.
Speaking in front of Congress, Jerome Powell said he’s in favour of a 0.25 point increase, aimed at tackling the surging cost of living.
The bank is under pressure to rein in inflation as prices in the US rise at the fastest rate in 40 years.
Analysts expect a rate hike in March, which would be the first since 2018.
It comes as costs for food, fuel and cars have risen sharply in recent months, leaving families’ budgets strained.
Mr Powell admitted that he was open to further interest rate increases further down the line if inflation, which measures how quickly the cost of living rises over time, remains “persistently high.” - BBC